What is a Digital Product?
A Digital Product can be described as a product that has a digital form instead of a physical one. Digital Products have an intangible format so they can be downloaded or streamed. Therefore, their primary point of interaction is through technology so users can purchase or access from their computers, phones, etc. Nowadays, there are a lot of entrepreneurs creating businesses around these intangible goods. They are very easy to distribute and they can be sold to different customers without the need of having inventory. This makes selling Digital Products one of the best passive income businesses that you can start from your own home.
The 3 steps to launch a profitable Digital Product
Find a good business idea and validate it first.
Creating Digital Products is easier than you think but of course it requires a process which has to be entirely customer-focused. The main aspect to keep in mind is finding a product that your customers might really need. Start considering what skills you have and what are your personal experiences and then think about how you can use this to create an outstanding Digital Product. When finding a good business idea there are three main steps you need to take:
- Research: look for pain points your potential customers might have and find solutions to the problem they are struggling with.
- Brainstorming: generate ideas that people want to buy because they add value to their lives.
- Validation: make sure the idea is solid before investing a lot of time and money on it and listen to people’s feedback.
Create your Digital Product and launch a MVP
In the first place, create a Minimum Viable Product (MVP) in order to evaluate the customer experience, and also to build awareness of your product. Once you have evaluated your MVP, you are ready to work on the final version and launch it. There are different types of digital products you call sell, some examples are:
- Online courses
- Web-based applications
- E-books
- Printables
- Softwares
- Professional services
- Audio files
You may also like “Design Thinking in Digital Product Management“.
Launch the Digital Product and gather feedback
Launching your Digital Product is just the starting point to see which channels are driving in more new customers for you. It can be delivered via email, through a platform or even on your website. Finding the right place to send it, might depend on what kind of product you make. It is also time to set the price, look at social proof and identify the value for your customers. You should keep testing, learning and improving your product. It is highly recommended having your own site to sell Digital Products and also to third-party marketplaces. There are only three difficult aspects:
- Finding the right tools to use for creating a product without technical knowledge.
- Picking an appropriate platform to sell your products
- Setup a payment method and a payment processor
And… Congratulations, you have created your own Digital Product!
Creating the product itself is the easiest part of the process. The most difficult part is to learn how to market and sell it Don’t get frustrated if things don’t go liker you expected. You can’t just link a product on your website and wait for the sales come. It is a matter of trial and error to start succeeding with your Digital Products.
If you want to learn more about Product Management, find out more about the Digital Product Management Master.